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Part B: Mineral Rights - Part B-6: Beneficiation - Processing, Trade & Transport - 35. Beneficiation – Processing, Trade and Transport - 35.5 Certification of Development Minerals Products | 35.5(a) Certification of Quality

Certification of quality refers to the authenticity of the content of development minerals that are sold in commerce. Certification by international specialists of the mineral content of metallic and non-metallic mineral products that are sold in international commerce is typically required for such sales. Development minerals are sold primarily in the domestic marketplace where quality verification may be less rigorous. The standards for the specific mineral content of development minerals should be established by the national standards agency. The national minerals laboratory should be the agency responsible for certifying the quality of development minerals from any particular source.

Certification of quality should be an option for the buyer of any development minerals until sellers begin obtaining certification to obtain competitive advantage.

35.5(a) Example:

Article [_]

Any person who directly disposes of any development minerals locally, nationally or regionally shall either (a) deliver a certificate of quality of the development mineral as prescribed in the Regulations to the party to whom he is disposing the development minerals or (b) sell the development minerals as uncertified with respect to quality.

Article [_]

A certificate of quality of a development mineral or a development mineral by-product shall be issued by the [national or provincial/state official minerals laboratory] after analysis of samples based on the standards established by the [national bureau of standards].

Article [_]

(1) The [national or provincial/state official minerals laboratory] is authorised to make investigations from time to time of any site for the extraction, processing, storage, trading or transport of development minerals for the purpose of verifying the mineral content of development minerals in commerce. Such investigations shall take place during normal business hours and shall follow the procedures in the Regulations.

(2) The [national or provincial/state official minerals laboratory] shall publish the results of its findings during such investigations on its website. Such findings shall also be published on the website of the [Regulating Authority].

(3) Any person whose site has been investigated pursuant to this provision and who contests the results as published may challenge such findings by administrative and judicial appeal in accordance with the provisions of this [Act][Code][Law].

Annotation

This example makes available to sellers and buyers the possibility of quality certification of development mineral products and by-products by an official laboratory. Certification is not mandatory but optional; and sellers must either deliver a certificate of quality or sell their products as uncertified. This enables market pressure to gradually force compliance with certification on sellers for major projects, without overly burdening suppliers of small projects. Uncertified development minerals will inevitably trade at a lower price than development minerals that are certified as to quality.

This example also authorises the official laboratory (which may be national or provincial/state) to make site investigations - not only of mines but also of processing, storage, trading and transportation facilities - to verify the mineral content of development minerals that are in commerce. That provides an important check on the quality of development mineral products in the stream of commerce and provides information for development of policy and enforcement actions.

The example also provides for the publication of the results of site inspections by the officials of the laboratory so that the market has objective information about the relationship between what is reported and what is observed in reality. In light of the possibility of errors in reporting and publication, the example provides a mechanism whereby an aggrieved party can challenge the published results of a site investigation.